Ariad Pharmaceuticals’ (ARIA) shares have collapsed due to the company ending the testing of its leukemia drug.
Ariad’s leukemia drug, called Iclusig, was found to increase the risk of blood clots in a recent study. Iclusig is Ariad’s only approved drug. The drug is still on the market and Ariad is working to change the drug’s label to include the new risk. The company is expected to change its financial and operating plans within the next few weeks and told investors that its still too early to consider a partnership or selling the company. Patients that were using Iclusig in the recent study are having their treatments stopped and will be put back in the care of their physicians, reports Businessweek.
Ariad initially stopped its trials of Iclusig on Oct. 9 when it discovered the negative side effects. The company’s shares dropped 70% that day due to this.
ARIA shares were down 38% as of Friday afternoon.